Playbook · sustainability
Sustainability in merch
Guide for transition of corporate merch program to sustainable materials: certifications, suppliers, carbon footprint measurement.
Czech & EU context
Sustainability is becoming a key topic in B2B merch programs in recent years. In the Czech environment, demand is growing for sustainable materials (recycled polyester, organic cotton, FSC certified paper, recycled metals) and transparent supply chains. Main motivations are: (a) regulatory requirements (CSRD, ESG reporting, EU Green Deal), (b) customer and employee expectations (ESG, CSR), (c) competitive advantage (sustainable brands gain market share), (d) long-term business sustainability (reduced carbon footprint, ESG compliance).
Transition to a sustainable merch program includes: (1) Selection of sustainable materials — organic cotton (GOTS certified), recycled polyester (GRS certified), FSC paper, recycled metal, biodegradable plastics, natural materials (wood, cork, bamboo), (2) Supplier selection with certifications — GOTS, GRS, Fair Trade, B Corp, OEKO-TEX, Bluesign®, FSC, (3) Carbon footprint measurement — emission calculation (Scope 1, 2, 3), reporting per GHG Protocol, (4) Reporting and communication — ESG reports, websites, social media, packaging material with sustainability information, (5) Circularity — take-back programs (for reuse), recycling, repairs.
Price of sustainable merch is typically 10–30% higher than regular merch, but brings long-term benefits: lower carbon footprint, ESG compliance, positive customer perception, competitive advantage. A gradual transition is recommended (1–2 categories per year), a pilot project with impact measurement, and transparent communication of results. It is key to avoid greenwashing (false ecological claims) and comply with regulatory requirements (CSRD, EU greenwashing directive).
Operational tactics and steps
Operational procedure includes six phases: (1) Current state audit (4–8 weeks, materials analysis, suppliers, carbon footprint), (2) Goal definition (4–6 weeks, KPIs, ESG goals, timeline), (3) Sustainable supplier selection (4–8 weeks, RFP, certification audit, pilot project), (4) Pilot implementation (8–12 weeks, 1–2 product categories, impact measurement), (5) Scaling (6–12 months, gradual transition to 100% sustainable materials), (6) Reporting and communication (ongoing, ESG reports, web, social media). Total time: 18–24 months for full transition.
Key certifications for sustainable merch: (a) GOTS (Global Organic Textile Standard) — organic cotton, (b) GRS (Global Recycled Standard) — recycled polyester, (c) FSC (Forest Stewardship Council) — paper, wood, (d) OEKO-TEX Standard 100 — textile safety, (e) Fair Trade — ethical trade, (f) B Corp — corporate social responsibility, (g) Bluesign® — ecological textile production, (h) Cradle to Cradle — circularity. In the Czech environment the most common are GOTS, GRS, FSC, OEKO-TEX and Fair Trade.
Proceed systematically: (1) Start with high-volume categories (T-shirts, sweatshirts, bags) — higher impact on total carbon footprint. (2) Look for suppliers with verified certifications (not self-claims). (3) Measure carbon footprint before and after pilot (typically 20–40% reduction with recycled materials). (4) Communicate transparently (cite specific numbers, certifications, suppliers). (5) Continuously evaluate and optimise (annually review goals, look for new opportunities).
Product and printing selection
Sustainable product alternatives: (a) T-shirts — organic cotton (GOTS certified), recycled polyester (GRS certified), blends (50/50 organic cotton + recycled polyester); price 15–25% higher than regular. (b) Sweatshirts — organic cotton or recycled polyester; thicker fleece with longer lifespan. (c) Bags — organic cotton (GOTS), recycled polyester (GRS), hemp, jute, cork; price 10–20% higher. (d) Paper products — FSC certified paper, recycled paper, kraft paper; price 5–15% higher. (e) Metal products — recycled stainless steel, recycled aluminium; price 10–20% higher. (f) Wood products — FSC certified wood, bamboo; price 15–30% higher.
Sustainable decorations: (a) Printing — water-based pigment inks (instead of plastisol), digital printing (less waste), ecological inks (OEKO-TEX certified); (b) Embroidery — organic cotton or polyester; (c) Laser engraving — no chemicals, minimal waste; (d) Sublimation — water-based sublimation inks; (e) Embossing — no ink, only pressure. It is recommended to combine decoration with regard to sustainability (e.g. embroidery + laser engraving instead of sublimation printing). All decorations should comply with REACH (restrictions on chemicals) and be OEKO-TEX certified.
Colour palette and design: (a) Natural colours (cream, brown, green, blue) — without chemical dyes; (b) Plant pigments — natural alternatives to synthetic dyes; (c) Natural patterns — simple, elegant, with emphasis on texture; (d) Multifunctional design — products with longer lifespan and repeated use; (e) Packaging design — minimalist, recyclable, without plastic. Consultation with a graphic designer specialising in sustainable design is recommended.
Logistics and VAT / e-Invoicing
Sustainable logistics includes: (a) Shipment consolidation (fewer trucks, lower emissions), (b) Electric or hybrid vehicles for urban distribution, (c) Route optimisation (AI software, reducing km travelled), (d) Parcel lockers and pickup points (reducing last-mile delivery), (e) Recyclable packaging materials (FSC certified cardboard, without plastic), (f) Carbon footprint offset (certified carbon credits, investment in renewables). It is recommended to track and report logistics carbon footprint (Scope 1 and 3 emissions).
VAT and invoicing: for sustainable merch, invoicing follows standard rules. For ESG reporting it is key to track: (a) Material origin (GOTS, GRS, FSC certifications), (b) Carbon footprint (calculation per GHG Protocol), (c) Social impact (working conditions, fair trade), (d) Circularity (recycling, reuse). ESG report per CSRD (Corporate Sustainability Reporting Directive) is recommended from 2024 for large companies.
Circularity: it is recommended to introduce a take-back program (participants return products at end of life), recycling (cooperation with recycling companies like REMA, Ekolamp, Sběrné suroviny), repairs (extending product lifespan). Circular design includes: (a) mono-materials (for easy recycling), (b) biodegradable materials, (c) modular design (for repairs), (d) shared products (for repeated use). It is recommended to track recycling rate and report per Packaging Act No. 477/2001 Coll.
KPI and success measurement
Sustainable merch program success measurement is based on four KPI groups: carbon footprint, share of sustainable materials, social impact and business results. Carbon footprint: measured as CO2e emissions per product piece (typical target: 20–40% reduction vs regular merch). Scope: Scope 1 (direct emissions), Scope 2 (indirect emissions from energy), Scope 3 (supply chain emissions, typically 70–90% of total emissions). Share of sustainable materials: target 50% by 2027, 100% by 2030 (per GRI and CSRD).
Social impact: measured as supplier working conditions (audits, Fair Trade), community benefit (percentage of purchases from local suppliers, investment in CSR), and employee engagement (volunteer programs, ESG training). Target: 100% suppliers with working condition audit by 2028. Business results: measured as impact of sustainability on customer satisfaction (NPS +5 points for ESG customers), employee retention (+3–5% for ESG employees), business growth (+5–10% for ESG markets).
Reporting and communication: ESG report per CSRD (mandatory for large companies from 2024), GRI Standards (international standard), SASB (for US markets). Internal reporting: dashboard with key metrics (carbon footprint, share of sustainable materials, certifications), shared with management and ESG team. External communication: websites, social media, annual reports, certification logos on products. Key is transparent reporting (specific numbers, not vague claims) and avoiding greenwashing.
What it is
A sustainable merch program is a B2B merch program that uses sustainable materials (organic cotton, recycled polyester, FSC paper), certified suppliers (GOTS, GRS, FSC, Fair Trade), measures carbon footprint (GHG Protocol) and communicates results transparently. The goal is to reduce environmental impact, comply with ESG regulatory requirements (CSRD), and have positive social impact. Key is to avoid greenwashing and ensure real sustainability across the entire supply chain.
When to use it
Use a sustainable merch program for: companies with ESG commitments (CSRD reporting, carbon neutrality), companies in industries with high environmental impact (energy, transport, FMCG), companies with ESG customers (B2B customers requiring ESG transparency), companies with ESG employees (younger generations require sustainability), companies with public commitments (public contracts require ESG criteria). For small companies with minimal ESG agenda, sustainability is less critical but still beneficial.
Specifications
Sustainable merch specifications include: selection of sustainable materials (with GOTS, GRS, FSC, OEKO-TEX certifications), supplier selection (with ESG audit), carbon footprint measurement (calculation per GHG Protocol, reporting per CSRD/GRI), circularity (take-back programs, recycling), reporting (ESG reports, communication), goals (50% by 2027, 100% by 2030). A dedicated ESG coordinator and cooperation with ESG consultants is recommended.
Mistakes to avoid
The most common mistakes in sustainable merch are: (1) greenwashing (false ecological claims without certifications), (2) certification without audit (only self-claims), (3) ignoring Scope 3 emissions (70–90% of emissions are in supply chain), (4) insufficient communication (ESG without transparent reporting), (5) too rapid transition (without pilot projects), (6) ignoring circularity (only material, not full cycle), (7) underestimating costs (sustainability is more expensive).
Briefing process
The sustainable merch process includes: (1) Current state audit (4–8 weeks), (2) Goal definition (4–6 weeks), (3) Supplier selection (4–8 weeks), (4) Pilot implementation (8–12 weeks), (5) Scaling (6–12 months), (6) Reporting (ongoing). A dedicated ESG coordinator and cooperation with ESG consultants and certification bodies is recommended.
Case example
The specific case study involved a mid-sized Czech energy company that in 2024 transitioned to a 100% sustainable merch program. Budget CZK 1.8 million included: 1,200 T-shirts in organic cotton (GOTS), 800 sweatshirts in recycled polyester (GRS), 600 bags in hemp, 1,500 paper business cards in FSC paper. Result: carbon footprint reduced by 38%, 100% suppliers with ESG audit, +12 NPS for customers, +6% employee retention, successful CSRD reporting. Extra investment: 22% vs regular merch.
Regulatory compliance
Sustainable merch is subject to the following regulations: CSRD (Corporate Sustainability Reporting Directive, EU 2022/2464, mandatory for large companies from 2024), EU Taxonomy (Regulation 2020/852, classification of economic activities), Greenwashing Directive (EU 2024/825, protection against false ecological claims), Act No. 541/2020 Coll. on Waste (records of packaging waste), Regulation (EU) No. 2016/679 (GDPR, protection of personal data), Act No. 76/2002 Coll. on Packaging (registration of packaging in EKO-KOM system). Consultation with an ESG consultant is recommended to ensure compliance.
Alternative comparison
Alternatives to sustainable merch are: (a) Classic merch (without sustainable aspects) — cheaper, but higher impact; (b) Local merch (Czech suppliers, short supply chains) — reduces Scope 3 emissions from transport; (c) Minimal merch (only necessary products) — overall lower impact; (d) Digital merch (e-gift cards, digital business cards) — minimal material, but lower emotional impact; (e) CSR merch (gifts with charity contribution) — social impact, but less ecological. The choice depends on company ESG goals, budget and stakeholder expectations.
Lifecycle
The sustainable merch lifecycle includes four phases: (1) Audit and goals (3–6 months), (2) Pilot projects (3–6 months), (3) Scaling (12–24 months), (4) Continuous optimisation (annually). It is recommended to regularly (at least 1× per year) evaluate ESG goals, look for new sustainable materials and suppliers, and communicate results to stakeholders. Goal: 50% sustainable materials by 2027, 100% by 2030 (in line with ESG trends).
Role note
This page describes the general procedure for transitioning to a sustainable merch program. It does not contain any claim of preferred materials or recommendation for a specific company. The specific choice depends on ESG goals, budget and regulatory requirements. Consultation with an ESG consultant is recommended to ensure real sustainability (not greenwashing).